Janelle Saffin (Page, Australian Labor Party) Share this | Hansard source

I rise to speak in strong support of the government’s National Rental Affordability Scheme Bill 2008 and the National Rental Affordability Scheme (Consequential Amendments) Bill 2008. The National Rental Affordability Scheme (Consequential Amendments) Bill 2008 will amend the Income Tax Assessment Act to enable eligible entities participating in the scheme to claim a refundable tax offset, to ensure that the contributions from states and territories participating in the scheme are treated as non-assessable and non-exempt income for taxation purposes, and to ensure that there is no capital gains tax consequence as a result of the receipt of the incentives under the scheme. It is important that that happens so that we attract the sector in particular to be involved. I am speaking to the two bills that are being dealt with in the cognate debate, so when I make my contribution I will stray across both of the bills.

These bills are part of a comprehensive policy package in response to housing needs—to housing needs long neglected across the whole of Australian society, including my seat of Page but not just in Page. Housing is something that has been neglected at a national level which has had a great impact at the local level. These bills represent one of the key planks of the Rudd Labor government’s housing policy.

We need public housing. We need public investment in housing. Otherwise, we would just be leaving it to the market, and the market does not take care of all the housing needs of our community. That is what these bills are directed at doing. I was written to recently—I think all members would have got a letter—by Shelter WA, who highlighted again this national issue that has a local impact. They said that, particularly over the last decade, at least $3.5 billion has been taken out of the housing sector. That was money that should have been in there as public investment, but under the previous government there was a disinvestment in the housing sector, and that greatly affected the housing stock.

Housing stress, as we know, has been a big issue and remains one, but it is being addressed. Some of the initiatives through these bills will take some time to kick in at the community level, so the problem will not be fixed overnight and it cannot be fixed in a short period but these measures are a way of attempting to do what is required.

In talking about these bills, it is necessary to talk about the affordable housing package in general but also to look at homelessness, an issue that has impacted my area. It is one of those things that are very difficult to quantify. Some homelessness is where people are out on the street, but some homelessness is where people are living with relatives, have to camp at friends’ places or have to live in cars. Again it comes down to—although not entirely—not having enough housing stock available at affordable prices. That really is unacceptable. It is commendable that our Prime Minister has not only made homelessness a national priority but also has stated that he wants to work towards the target of halving it in 10 years time. That is compelling. It is compelling for a number of reasons but particularly at a humanitarian level.

Homelessness is an issue. My view has always been that one of the things we have to do with people who are homeless is just provide shelter for them, provide homes for them. Every citizen has the right to shelter, and as a decent society we have a responsibility to house our own, no matter what their circumstances. Sometimes people say to me ‘they drink’, ‘they do drugs’, ‘they gamble’ or whatever, and sometimes that is true. But none of us is perfect and we have to look after the afflicted as well as the addicted. We also have to look after people with illnesses, whether psychological or physical. I have seen people who are at less than full capacity trying to organise themselves to keep a roof over their heads. Some people just cannot do it and they need help and support, particularly those who do have a mental illness. They get a place and a number of things may happen: they do not pay the rent when they should or they pay it intermittently; they wander away for a while; or they disturb the neighbours. The latter is always harder; some of the others are easier to fix. They get moved on or they get evicted or they lose their housing and then they are homeless again. And then they get back into the never-ending cycle of homelessness. It is easier just to keep people in their homes.

In Lismore, one of the big centres in my seat of Page, we are looking at building a homeless shelter because we do have a housing problem there. Fortunately, we have a contribution of $200,000 from the federal government. But everybody is kicking in. The whole community is behind it, and it is being driven by local government through Lismore City Council. That is just one response to try to tackle the housing issue at a local level.

When I talk about housing, it is with some background that I have in the area. I was a founding member and president of the North Coast Community Housing Company, which was first set up in about 1983. It still continues today to provide housing at affordable prices, which is what these bills are about, on the North Coast and across the Northern Rivers. It is pleasing for me to see that organisations like that still exist and try to meet that need in the community. These bills will also do that at a very strategic government level and through strategic intervention by government, ensuring that we do have some more affordable housing stock. In discussions so far, I have heard a number of people talk about regulations not being available. My information and advice is that those regulations are available. I want to put that on the record to correct a probable misperception about that particular issue.

Mr Deputy Speaker, you may call me a bleeding heart, but homelessness does cause me pain, to see people who are evicted or put in a homeless situation because they cannot afford a home. It is one of those things that I am sure causes some pain to all members in this House, and we should work towards resolving it.

The scheme encourages, through tax incentives, large-scale investment in affordable rental housing by offering an incentive to those who provide new dwellings on condition—and from what I understand it is clearly non-negotiable, as it should be—that the new dwellings are rented to low- and moderate-income households at 20 per cent below market rates. That will make it affordable. I want to outline what the incentive is. It is both a Commonwealth contribution of $6,000 per dwelling per year and a state or territory contribution to the value of $2,000 per dwelling per year in the form of direct financial support or in kind contribution. The incentive can also be in the form of a refundable tax offset or payment. The incentive has a 10-year life span. It is payable each year for 10 years to participants who comply with the criteria. As I understand it, it will be indexed in line with the rental component of the CPI.

The bills introduce a key part of the $2.2 billion affordable housing package, and this delivers on the Rudd Labor government’s 2007 election commitment. I also understand that COAG has agreed to implement the scheme as well as be involved in it, and that is good progress and good news. The National Rental Affordability Scheme will create up to 50,000 new rental properties across Australia, an investment of about $622 million over four years. I, like every good local member, will be saying, ‘Of course, I want some of that investment in Page.’ That is what good local members say, but I know there is already an interest in my area, particularly from local governments. It is pleasing that I do have local governments in Page which have already shown a keen interest. They have also taken action to provide housing in the local community.

In closing, I commend these bills. I also commend the Minister for Housing, Tanya Plibersek, for the good work that she does in the area of housing by bringing not only technical policy expertise to the area but also compassion, which is absolutely necessary when we are dealing with the issue of housing.

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